Current Situation And Countermeasure Research Of H Cement Cash Flow Management

Corporate financial management must focus on cash flow.If we only pursue profits without paying attention to cash flow,it will inevitably lead to the loss of liquidity of enterprises,and even directly lead to the rupture of the capital chain,resulting in bankruptcy of enterprises.Therefore,cash flow management is the most important part of enterprise financial management.As far as cement industry is concerned,cash flow is relatively tight due to the impact of high inventory and receivables,so cash flow management becomes more important.However,at present,there are few literatures on cash flow management in cement industry,and case studies are scarce.In addition,H Cement is at the critical stage of green transformation and internationalization,and cash flow management is facing many new challenges.Therefore,the research on cash flow management in H Cement Company has obvious practical significance and theoretical value.Based on case studies,this paper focuses on H Cement Cash Flow Management,known as the cradle of China's cement industry.Firstly,it defines the connotation of cash flow and cash flow management,expounds the main objectives and contents of cash flow management,and summarizes the significance of cash flow management.On this basis,it elaborates the theoretical basis of cash flow management,including DSO theory,cash gap theory,strategic cash flow theory and life cycle theory.which lays a theoretical foundation for further analysis of this paper.Secondly,the basic overview of H Cement Company is described,and the basic status of cash flow management of H Cement Company is analyzed from three aspects: the structure of cash flow,income ability and debt paying ability,in order to identify the main problems in cash flow management of H Cement Company.It is found that the cash flow management of H Cement Company is in a sub-healthy state at the present stage.There are five major problems: insufficient power of cash flow growth,unreasonable cash flow structure,low cash flow rate of operating activities,high risk of cash flow of investment activities,and high pressure of debt repayment of financing activities.Finally,based on the analysis of the causes of H Cement Cash Flow Management,the paper puts forward five measures to improve the cash flow management,including optimizing the company's operating strategy,strengthening the cash flow budget and analysis,strengthening the cash flow management,rationally planning the cash flow demand of investment activities and formulating sustainable financing decisions.The main innovation of this study is to systematically analyze the current situation,existing problems and optimization measures of cash flow management of H Cement Company based on case studies,which to some extent makes up forthe deficiencies of the existing literature on cash flow management of cement enterprises,especially case studies.At the same time,this study not only has direct guiding significance for cash flow management of H Cement Company in the transition period,but also has certain reference significance for cash flow management of other companies in the cement industry.